German Ifo Business Climate Index Rises on Improving Economic Outlook

It was another busy day ahead on the European economic calendar. Finalized German and Italian inflation figures for January drew interest this morning, ahead of the German Ifo Business Climate Index numbers.

Inflation figures from Germany failed to deliver a surprise. Germany’s annual inflation rate accelerated from 8.6% to 8.7% in February, in line with prelim figures. According to Destatis, food prices rose by 20.2% year-on-year, with energy prices up 23.1%. Excluding food and energy, the inflation rate was 5.6%.

Italy’s annual inflation rate softened from 11.6% to 10.0% versus a prelim 10.1%. However, German Ifo Business Climate Index numbers for February drew more interest. In February, the German private sector returned to growth according to prelim PMI numbers, thanks to a sharp pickup in service sector activity. The Business Climate Index needed to reflect improving business conditions.

The German Ifo Business Climate Index increased from 90.1 to 91.1 in February. Economists forecast an increase to 91.2. The Current Assessment Index unexpectedly fell from 94.1 to 93.9, while the Business Expectations Index increased from 86.4 to 88.5. Economists forecast increases to 95.0 and 88.3, respectively.

Today’s figures should mute the ECB monetary plans for March and forward guidance. An improving trend in business sentiment supports the near-term policy outlook.

After the latest PMI numbers and today’s Ifo numbers, investors need to monitor ECB member speeches. However, with no Executive board members on the calendar to speak, commentary with the media will need consideration. ECB members will need to discuss post-March moves to draw interest. Ahead of the Business Climate Index numbers, the EUR/USD rose to an early high of $1.06642 before falling to a low of $1.06435.

In response to the Ifo Business Climate Index numbers, the EUR/USD fell to a session low of $1.06356 before steadying. When writing, the EUR/USD was down 0.01% to $1.06450.

This Post Has 18 Comments

  1. Jamesmeaft

    doxycycline prescription cost uk: cheap doxycycline – where to purchase doxycycline

  2. Charlesunmax

    top online pharmacy india [url=https://indiapharmast.com/#]Online medicine home delivery[/url] п»їlegitimate online pharmacies india

  3. Charlesunmax

    canadian online drugstore [url=https://canadapharmast.online/#]northern pharmacy canada[/url] canadian mail order pharmacy

  4. Charlesunmax

    buying from online mexican pharmacy [url=https://foruspharma.com/#]best online pharmacies in mexico[/url] reputable mexican pharmacies online

  5. Charlesunmax

    buy drugs from canada [url=http://canadapharmast.com/#]canadian pharmacy antibiotics[/url] canadian discount pharmacy

  6. Michaelhousa

    mexican border pharmacies shipping to usa
    https://cmqpharma.online/# mexican mail order pharmacies
    mexican online pharmacies prescription drugs

  7. RodolfoGer

    mexican rx online
    https://cmqpharma.com/# buying prescription drugs in mexico online
    medicine in mexico pharmacies

Leave a Reply

Important Link

Fund Your Deriv Account
Withdraw Funds to Your Local Currency
VIP Trading Signals
Learn To Trade

Contact Us

Follow Us

Disclaimer

Forex, Crypto, Options, and Binary Options have both large potential rewards and large potential risks. Therefore, before investing or trading any of the assets, ensure you are aware of and willing to accept the accompanying risks. Do not trade money you cannot afford to lose.

All Rights Reserved. None of the content of this website can be published elsewhere by any means without the prior consent of the owner(s). Please, check our terms & conditions and privacy policy before continuing to use this website.

This website and its owner(s) are not in any way liable for any incurred loss, whether caused by the information provided on this website or otherwise. The use of this website, including the content and information provided, is the user’s sole liability.